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Discuss the conditions under which the Federal Reserve influences the value of the dollar. Included in your answer MUST be an examination of how/why the Federal Reserve would sell dollars to banks ans well as how/why the Federal Reserve would buy dollars from the banks.
Assume that the price of smart phones increased from $420 to $444 per unit. The manufacturer decides to supply 15,000 units instead of 12,000. Calculate the price elasticity of supply. Is supply elastic or inelastic? Compare and contrast a public goo..
A seasonal bus tour firm has 5 buses with a capacity of 60 people each. Each customer pays $25 for a 1-day tour. The firm has an expense of $5/customer and a fixed annual cost of $360,000. If occupancy on the buses average 80% each day, how many days..
(a) Solve the following problem graphically:
Calculate the value of the market basket in 2012 and in 2013. Using your answers to part (a) and letting 2012 be the base year, calculate the value of the CPI for 2013. By what percentage did the CPI increase between 2012 and 2013? Notice that neithe..
Assume there are two groups in the population, and each contributes equally to the cost of the project, but two-thirds of the benefits accrue to the richer group. How this alter the cost-benefit calculation?
In a fictional city, the city council introduces a new $500 per month tax on one-bedroom rental units. The tax raises the typical monthly rent on one-bedroom units from $950 per month to $1,050 and it lowers the number of one-bedroom units rented out..
For the utility function U(x,y) = 8 ln(x) + 2y a price of X equal to $1 and a price of Y equal to $1, what is the elasticity of Y with respect to income? Using your answer from part 9 (or whatever you think the correct answer was), how would you desc..
Do you believe that a “culture of entitlements” exists that contributes to the budget crisis? Does this concept carry over to corporate culture?
what was the present worth of savings associated with the cheaper chip over a 2-year period at an interest rate of 24% per year, compounded monthly?
Government encourage a decision to expand? How would it affect the reputation of the business?
Illustrate what will be real interest rate that clears goods market at G = 2000 and Y = 10,000. Conclude autonomous investment and marginal propensity to invest.
Efficiency of labour refers to the ability to achieve a greater output in a shorter time without any falling off in the quality of the work - that is to say, increase productivity per man employed. The efficiency of a country's labour force depend..
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